By Ajay Kumar

Verified by Ajay Kumar

A, B, and C invest in a business with their capitals in the ratio 2:3:4. After 6 months, A increases his capital by 50%. At the end of 2 years, the total profit earned is Rs. 90,000. How much profit does A receive?

  1. Rs. 18,000

  2. Rs. 20,456.78

  3. Rs. 22,000

  4. Rs. 25,384.62

Answer: D

Solution

Let the initial investments be \(2x,3x,4x\). A's capital-time investment is \(2x\times6+3x\times18=66x\). B's investment is \(3x\times24=72x\), and C's investment is \(4x\times24=96x\). The profit-sharing ratio is \(66:72:96=11:12:16\). A's profit is \(\frac{66}{234}\times90000=25,384.62\) approximately. Trick: Profit is divided according to capital multiplied by time.

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